MSEDCL Launches 1,000 MW Medium-Term Power Procurement Tender With Two-Stage Bidding Process

The Maharashtra State Electricity Distribution Company Limited (MSEDCL) has initiated a two-stage bidding process to procure 1,000 MW of electricity on a medium-term basis. This Request for Proposal (RFP) outlines the framework for selecting suppliers, detailing evaluation criteria, submission requirements, and the operational framework for bidders.

The first stage of the process focuses on pre-qualifying bidders through an e-Tender system. Interested parties must submit necessary documentation and meet technical and financial criteria to progress. Upon qualification, the shortlisted bidders enter the second stage, which includes tariff-based competition and an e-Reverse Auction. Here, bidders can reduce their quoted tariffs incrementally, ensuring competitive pricing for MSEDCL.

The RFP mandates a Bid Security of ₹5 lakh per MW from participants, refundable upon the conclusion of the bidding process. This security can be provided through a bank guarantee, demand draft, or online payment. Non-compliance with submission requirements, including Bid Security, leads to automatic disqualification. Further, all bids remain valid for 120 days, ensuring continuity and commitment from participants.

Tariffs quoted must include fixed and variable charges, with each accounting for at least 35% of the overall cost. For inter-state projects, additional costs like ISTS transmission charges and losses are incorporated for bid evaluation, creating a level playing field with intra-state projects.

MSEDCL reserves the right to reject bids at any stage, amend the bidding terms, or annul the process entirely. Confidentiality is emphasized, ensuring fair competition. The selected bidder, determined by the lowest compliant tariff, must execute the Agreement for Procurement of Power (APP) and provide performance security. In cases of withdrawal or failure to meet requirements, other qualified bidders are invited to match the lowest bid.

This process underscores MSEDCL’s commitment to transparent and competitive procurement, optimizing costs while ensuring reliable electricity supply to Maharashtra’s consumers.